The Stock Exchange of Thailand (SET) has tapped the Korea Exchange (KRX) and its financial IT services provider KOSCOM to help them develop an integrated clearing and settlement system.
The project will progress over two phases. In the first 16 months, the clearing and settlement system for derivative products will be developed. In the second, eight-month phase, the exchange will develop clearing and settlement for cash products.
The project is one of a series KRX is undertaking in southeast Asia. Others include similar system developments for the Bursa Malaysia and Philippines Stock Exchange.
Last month, as part of the bourse’s on-going Operations Master Plan announced in July, SET updated its third-party clearing service and global custodian services to improve post-trade facilities for market participants.
The revamp to the third-party clearing service now lets non-clearing members outsource clearing and settlement to more than one clearing member through give-up/take-up arrangements.